OTTAWA – The CRTC has given MTS the go ahead to transfer ownership and effective control of its licensed terrestrial broadcasting distribution undertakings operating in Winnipeg and surrounding areas to Bell Canada.
The Commission’s decision is the first of three regulatory approvals required to complete the closing of BCE's proposed $3.9 billion acquisition of MTS. The Competition Bureau, which is still reviewing the deal as part of a merger review, must also give its thumbs up, as does Innovation, Science and Economic Development Canada.
The CRTC stressed that it exclusively reviewed the change in ownership of the licensed BDU, and reiterated that the portion of the transaction involving telecommunications services is subject to the Telecommunications Act and does not require the Commission's prior approval.
“The Commission finds that the transaction does not raise concerns with respect to applicable Commission policies and regulations and that it does not trigger the payment of tangible benefits”, reads the decision. “Furthermore, Bell committed to invest in infrastructure in Manitoba, including in markets that are currently unserved, which will benefit the broadcasting system.”
The CRTC’s approval means that Bell can proceed with the roll out of its Fibe TV service in Manitoba.
"We continue to make progress toward uniting Bell and MTS as we work with federal regulators to complete the remaining transaction approvals," said BCE and Bell president and CEO George Cope, in a statement. "Bell and MTS look forward to implementing our billion-dollar capital investment program to bring innovative broadband fibre and wireless services to Manitobans everywhere."
"We remain optimistic that we will secure the necessary approvals from the Competition Bureau and Innovation, Science and Economic Development Canada along the timelines set forth from the outset, and continue to be excited about the benefits the new Bell MTS partnership will bring Manitobans", added MTS President and CEO Jay Forbes, in a separate statement.
The Bell MTS transaction is widely expected to close in early 2017.
